The UK Rebate has been returning billions of dollars worth of the UK's EU contributions to the country every year since 1985. Following the UK's lead other countries, like Sweden and Denmark have also been getting sizeable parts of their EU contributions back.

But the Danish finance ministry predicts that the arrangement wont last long after Brexit, Bloomberg reports.

Ad

As a major beneficiary of the rebate system the UK has been resisting pressure from other member states to abolish it, and with Brexit, that counterforce is about to disappear.

In response to an email inquiry by Bloomberg, the ministry wrote that the end of the UK Rebate with Brexit will be followed by a discussion which is likely to result in a gradual end of the rebate system.

If that happens, Denmark's and Sweden's annual spending on the EU will increase by hundreds of millions of dollars.